Demand for digital technologies will drive sales for IT companies: ICRA

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By Ashish Mitra --
Friday, 15 Jan, 2021

Demand for digital technologies and resumption of normal economic activities will drive sales for IT companies, after which the sector will post a revenue growth of up to 9 per cent in 2021-22, a report has claimed.

Rating agency ICRA has given a ‘stable’ outlook for the sector the size of which is pegged at over $180 billion by industry lobby Nasscom including the business process outsourcing business.

The IT services sector's revenues will rise between 7-9 per cent in rupee terms and between 5-8 per cent in dollar terms in 2021-22, it estimated.

Here, it can be noted that the pandemic has dented activities across sectors and the IT business is one of the few isles of growth. All the top IT companies have reported a handsome performance for the third quarter of 2020-21 and make optimistic guidance.

Nasscom stopped an over two decade old practice of giving an aspirational growth target for the industry two years ago. "Growth in INR expected to be 7-9 per cent while in US dollar terms it will be 5-8 per cent growth for FY2022, demand for digital technologies and resumption of normal economic activity will drive growth," ICRA said.

Demand for digital technologies will drive sales for IT companies: ICRA. Demand for digital technologies and resumption of normal economic activities will drive sales for IT companies, after which the sector will post a revenue growth of up to 9 per cent in 2021-22, a report has claimed.

Rating agency ICRA has given a ‘stable’ outlook for the sector the size of which is pegged at over $180 billion by industry lobby Nasscom including the business process outsourcing business.

The IT services sector's revenues will rise between 7-9 per cent in rupee terms and between 5-8 per cent in dollar terms in 2021-22, it estimated.

Here, it can be noted that the pandemic has dented activities across sectors and the IT business is one of the few isles of growth. All the top IT companies have reported a handsome performance for the third quarter of 2020-21 and make optimistic guidance.

Nasscom stopped an over two decade old practice of giving an aspirational growth target for the industry two years ago. "Growth in INR expected to be 7-9 per cent while in US dollar terms it will be 5-8 per cent growth for FY2022, demand for digital technologies and resumption of normal economic activity will drive growth," ICRA said.